C&W denies plans to cleave business in two

1 May 2007

Cable & Wireless (C&W) has said it will maintain its current strategy and does not have any immediate plans to split into two. ‘Any discussion of spinning off our businesses is premature,’ the Bracknell-based company said today in an e-mailed statement. Shares in C&W rose after the company said it is focused on building its UK and international units and the strategy is `progressing well.’ British Sunday newspaper The Observer had reported that Cable & Wireless may split itself into British and international units and sell them to private-equity groups or competitors. `We are in the early stages in terms of both businesses and there is more work to do,’ the company said in the statement. Chairman Richard Lapthorne and managers John Pluthero and Harris Jones were reported to be in favour of a split.

United Kingdom, Cable & Wireless (UK)